Asian tiger Qaiser mayo

SUPERIOR ACCOUNTANCY LAHORE

Presented by:Name :Qaiser Hussain Class:Accounting & Finance Roll number: Bs 13116Presented to:Prof Nasir Chatta

Assignment

How Became Pakistan as an Asian Tiger

INTRIDUCTION

The Four Asian Tigers or Asian Dragons is a term used in reference to the highly developed economies of Hong Kong, Singapore, South Korea and Taiwan after 1970. These regions were the first newly industrialized countries, noted for maintaining exceptionally high growth rates and rapid industrialization between the early 1960s and 1990s. By the 21st century, all four regions have since graduated into advanced economies and high-income economies. Now people say that all four countries are rich countries. All four Asian Tigers have a lot of people who are very educated and good at their jobs. They also did different things, and tried to do them better than other countries. For example, Hong Kong and Singapore became very good at international finance, while South Korea and Taiwan became very good at information technology. However, attention has increasingly shifted to other Asian economies which are now experiencing faster economic transformationA country is known as tiger of its continent if its economy is strongest among all other countries of same continent. But to make a country a tiger of its continent, betterments/improvements in many fields are required. Pakistan is the next country having the same vision. Pakistan has a semi-industrialized economy, which mainly encompasses textiles, chemicals, food processing, agriculture and other industries. Growth poles of Pakistan's economy are situated along the Indus River; diversified economies of Karachi and Punjab's urban centers coexist with lesser developed areas in other parts of the country. The economy has suffered in the past from decades of internal political disputes, a fast growing population, mixed levels of foreign investment and high defense spending. Foreign exchange reserves are bolstered by steady worker remittances, but a growing current account deficit – driven by a widening trade gap as import growth outstrips export expansion – could draw down reserves and dampen GDP growth in the medium term. But if we want to make Pakistan an Asian Tiger, we need to tie up all the broken ends and we will have to struggle each and every day, day and night to achieve our goal. Following Sectors still needs improvements if we want to make our country an Asian tiger.

EDUCATION :

Education is the most important factor which plays a leading role in human resource development. It promotes productive and informed populace and creates opportunities for the socially and economically deprived sections of society.

AGE LITERACY RATE %

Age b/w 55-64 30 %

Age b/w 45-54 40 %

Age b/w 25-34 50 %

Age b/w 15 -24

60 %

LITERACY RATE IN PAKISTAN

In indicate the with every passing generationLiteracy rate is increased By 10 %

LITERACYRATE

IS IT POSSIBLE ??????

57 % 50%

80%

2009 2015

ULTIMATE OBJECTIVE OF PAKISTAN

UNIVERSITY WORLD RANKING

During 1947-2003 not a

single university of

Pakistan could be ranked

among the top 600

universities of the

world…......!!!

But today 5 to 6 Pakistani universities

belong to the prestigious

group of worlds best universities

….!!!!

Pakistani University in World Ranking

NUST , ISLAMABAD UET , LAHORE

KARACHI UNIVERSITY QUAID-E-AZAM UNIVERSITY ISLAMABAD

MUET , JAMSHORO

Country World Ranking

Educational Budget

Cuba #1 18.7%

Malaysia #10 8.1%

Iran #58 4.9%

India #81 4.1%

Bangladesh #119 2.4%

Pakistan #126 1.8%

Indonesia #130 1.2%

Lack of Govt in Education

Factors Cause For Pakistan’s Poor Performance In Education

Low level of public investmentLow level of public investment Lack of government funds to educational institutes

Lack of government funds to educational institutes

Administrative lacks of government institutions

Administrative lacks of government institutions

“Choudhry” and “Wadera” culture of Pakistan

“Choudhry” and “Wadera” culture of Pakistan

Low income level of people Low income level of people

Challenges

Weakened Governance Fragmentation Lack of Clarity in Inter-Tier RelationshipsPoor Quality of Teachers & ManagersQuality of curriculum, textbooks & examsLow level of literacyOut of school childrenDropoutsPublic Private PartnershipIn-adequate financingGender EquityPoor monitoring & evaluationImbalance in primary, middle & secondary schoolsInconvenient school location

Reforms Undertaken

• Free education up to Matriculation.• Grant of scholarships • English language compulsory• Budgetary allocations for education increased• Encourage Private sector• Improved Examination System

• Curriculum upgraded to ensure latest developments / ideas in science and technology• Format of the question papers for the Board examinations revised• Teachers’ Training and Knowledge:• Technical / Vocational Education• Career Counselling at higher secondary level• Pre-service & in-service teacher training

IMPORTS AND EXPORTS OF PAKISTAN

IMPROT EXPORT OVER VIEW

Last five years Inflation has

increased Currently

25%

5 years averaged Growth 6-

7

cotton products Rice

Toys, bicycles and other sporting goods, etc.

Computer accessories Civilian aircraft scientific, medical &

hospital equipment Telecommunications equipment

Tanks, artillery, missiles, rockets

guns

Major Exports of Pakistan

Over 80% of Pakistani exports are cotton products. Cotton apparel & household furnishings US$2.6 billion (70.6% of Pakistani to U.S. exports, up 18.6% from 2005)Cotton cloth & fabrics (threads, cordage) $351 million (9.6%, down 5.6%) Other textiles apparel & household furnishings $138.3 million (3.8%, down 11.6%) Textile floor coverings including rugs $122.1 million (3.3%, down 2.1%) Non-textile apparel & household furnishings

$81.4 million (2.2%, up 7.2%)

Over 80% of Pakistani exports are cotton products. Cotton apparel & household furnishings US$2.6 billion (70.6% of Pakistani to U.S. exports, up 18.6% from 2005)Cotton cloth & fabrics (threads, cordage) $351 million (9.6%, down 5.6%) Other textiles apparel & household furnishings $138.3 million (3.8%, down 11.6%) Textile floor coverings including rugs $122.1 million (3.3%, down 2.1%) Non-textile apparel & household furnishings

$81.4 million (2.2%, up 7.2%)

Toys, bicycles and other sporting goods $34.4 million (0.9%, up 16.5%)Synthetic cloth & fabrics (threads, cordage) $23.7 million (0.6%, down 39.1%) Cookware, cutlery, house & garden wares including tools $21.4 million (0.6%, up 10.2%)

Ethanol a viable substitute for oil in motor vehicles

Ethanol a viable substitute for oil in motor vehicles

Coal as Substitute for Gas

Coal as Substitute for Gas

Biodiesel commercialization

in Pakistan

Biodiesel commercialization

in Pakistan

Canola Oil, a better substitute for

Palm Oil

Canola Oil, a better substitute for

Palm Oil

Substitutes for Exports

Substitutes for Exports

no possible substitute for exports in Pakistan

no possible substitute for exports in Pakistan

SUBSTITUTE FOR IMPORT & EXPORT

FACTOR AFFECTING OUR EXPORT

Stiff international competition in Textile products from China, India,

Stiff international competition in Textile products from China, India,

Vietnam and Bangladesh in our major markets of the US and the EU;

Vietnam and Bangladesh in our major markets of the US and the EU; Industrial Zones (QIZs) in Jordan and

Egypt fall in unit prices in the textile sector

Industrial Zones (QIZs) in Jordan and Egypt fall in unit prices in the textile sector

the setting up of U.S. sponsored Qualifiedthe setting up of U.S. sponsored Qualified

CAFTA (Central American Free Trade Area)

CAFTA (Central American Free Trade Area)

NAFTA (North American Free Trade Area),

NAFTA (North American Free Trade Area),

REASONS FOR TRADE DEFICITE IN PAK

ELECTRICITY SHORTFALL

LABOR FORCE

POLITICAL INSTABILITY

BUISNESS OPPORTUNITIES

COUNTRY CROP SMUGGLINGLOE RETURN ON CAPITAL

RISING OIL PRICES

IMPROVE EXPORT KEYS

. .

Specific Transaction Guarantees:Whole Turnover Guarantees, Open Account Sales Only:Group-Wide Guarantees:Facilities Upgrade:Counter trade/Barter:Bid Bonding:Performance Guarantees:Inventory Replenishment:Agency Sales:Future Receivables:EDIPost-Shipment:Advisory:

Short Term Financing Export Finance Scheme Long Term Financing LongTerm Financing-Export

Oriented Projects. Locally Manufactured

Machinery

DISCUSS THE MAJOR PROBLEMS OF AGRICULTURAL SECTOR OF PAKISTAN. WHAT MEASURES DO YOU SUGGEST TO IMPROVE THIS SECTOR? AND MAKE A PAKISTAN AS A ASIAN TIGER ……….. 

AGRICULTER SECTOR

INTRODUCTION :

Agricultural sector is the backbone of our economy. But the growth of agriculture in Pakistan is facing a lot of problems. Due to various causes, per acre yield is very low in Pakistan as compare to other developed countries.  Agriculture is central to economic growth and development in Pakistan. Being the dominant sector it contributes 21.4 percent to GDP, employs 45 percent of the country’s labour force and contributes in the growth of other sectors of the economy The agriculture growth this year stood at 3.3 percent as compared to 3.5 percent during the last year. 

PROBLEMS OF AGRICULTURAL SECTORProblems of agricultural sector are categorized as below:   TECHNO-ECONOMIC PROBLEMS

1)      Limited Cultivable AreaThe total area of Pakistan is about 79.6 million hectares, out of which only 23.7 million hectares (28%) area is used for agricultural purposes. About 8 million hectares area is idle and un-utilized. There is vast sub-division and fragmentation of land holdings, as a result modern technology cannot be applied in agriculture sector. 

2 Water Logging and Salinity

Water logging and salinity are twin problems of agricultural sector due to salinity, deposits of salt in land have appeared on the surface of land and they have adversely affected the performance of agricultural sector. Water logging and salinity affect about 0.10 million acre of land in every year. It is not only waste of land but also reduction in productivity.3)      Slow Growth of Allied Products

Allied products refer to those productions, which are not agricultural but indirectly, help the farmer to improve his living standard. Pakistan is in-sufficient in the production of fruits, milk, poultry, fisheries, livestock and forestry. As a result not only our food quality is poor but also industries such as furniture, textiles and dairy cannot be developed.

4)      Low Per Hectare YieldThe most important problem of agriculture is its low yield per hectare for almost every major crop. 45.0% of labour force is engaged in this sector in Pakistan while it is less than 5% in developed countries. But, other countries of world are getting higher yield per hectare due to use of modern technology and trained labour. 5)      Inadequate InfrastructureRural infrastructure like, roads, storage facilities, transport, electricity, education, sanitation and health facilities etc. is inadequate to meet the requirement of growth of agriculture. Total length of farm-to-market road is not only shorter but their condition is also poor. Many villages have no metal-led road at all. Electricity is available to only 3/4 rural populations.

6)      Uneconomic Land Holdings Due to increasing population and division of land under the law of inheritance, landholdings are subdivided over and over again. The result is that very large number of farmers has less than 2 hectares of area. Moreover holdings are scattered. It is difficult to use modern machinery on small pieces of land. 7)      Old Methods of ProductionNo doubt, mechanization of agriculture is increasing in Pakistan, but in most of the areas, the old implements are still being used for agricultural production. Old and orthodox techniques of production cannot increase the production according to international levels. 

8)      Inadequate Supply of Agricultural InputsThe supply of modern inputs like high yielding variety (HYV) seeds, chemical fertilizers, pesticides, mechanized machinery etc. not only costly but also inadequate and irregular in Pakistan. Numbers of fertilizer producing units are just 10 in Pakistan. 9)      Lack of Irrigation FacilitiesShortage of irrigation facilities causes a serious limitation in the expansion of crop area in Pakistan. The lower water supplies, loses from water course in the fields are the serious problems of farm sector. Actual surface water availability is 91.8 million acre feet.10)  Inadequate Agricultural ResearchThe average crop yield in Pakistan is very low as compared to the production levels of the advanced countries of the world. In order to raise the potential of agricultural production, there should be continuous improvement in the research for agricultural growth. Total agricultural universities and colleges are only 16 in Pakistan. 

11)  Problem of Land ReformsLand reforms have been implemented against the will of people. There is an urgent need to conduct a proper land reform for improving agricultural growth. Due to this problem agricultural production cannot increase to desired level. 12)  Defective Land Tenure SystemDefective land tenure system is also responsible for low yield per acre in agricultural sector. Landlords and feudal-lords live in posh urban areas while tenants and peasants have no or less incentive for their hard work. So, the productivity in agricultural sector remains low.

13)  Subsistence FarmingOur farmer is attached with subsistence farming; a huge of portion of production is consumed at farmer’s own house to support large family. Hence, less portion of the production is available for market supply. It causes low income of the farmers. Farming is not conducted at commercial level in Pakistan. 14)  Low Cropping IntensityCropping intensity means the number of crops grown on a piece of land in one year. At the present stage of our development, there is low level of cropping intensity as compared to advanced countries. Cultivable area under double or multiple cropping is inadequate in Pakistan15)  Improper Crop RotationProper turning round of crops is essential to re-establish the fertility of the land. The constant cultivation of one crop or two; exhausts the fertility of the soil. Proper rotation of crops is necessary in order to restore the fertility.  .

NATURAL PROBLEMS

Various Plant Diseasescotton, sugarcane, tobacco, wheat and

riceNatural Calamities

Labour is in the hand of mankind but its result is in the hands of ALLAH in

agriculture sector 20% reduction in productivity due to

unnecessary rainUnder Utilization of Land

SOCIO-ECONOMIC PROBLEMS

Consumption Oriented Farmer’s LitigationJoint Family System

Illiteracy and Ill-health57.7 only

Political Instability

FINANCIAL PROLEMS

Lack of Credit. About 50.8% poor borrow from landlords in PakistanPoor Financial Position of Farmers57.4% poor are working for feudal-lords without wages

Instability in Market Prices

Shortage of Agricultural Finance50.8% poor borrow from landlords at very high rate of interest.

. 

Water Logging and Salinity Controldestroys about one million acre of land every year in Punjab and Sindh

Construction of Dames

Supply of Agriculture CreditCauses20% reduction in total production

Provision of HYV Seed

MEASURES TO REMOVE THESE PROBLEMS

Training of Farmers

Agricultural R

esearch

Agro-based Industr

ies

Tax Concessions

Agriculter

Prices of Agricultural Productivities

Mechanizatio

n

SOLUTIONS

Being an agrarian country, agricultural sector of Pakistan’s economy is still backward. Use of modern techniques, provision of credit facilities, basic infrastructure and agriculture research facilities are needed to remove all the problems of agriculture sector.

Conclusion

Energy play an important role in the economic development of a country.

In Pakistan supply of energy is 46.8 million tons & per capita availability is 0.28 million tons per year while consumption per year is 48.3 million tons.

ENERGY SECTOR

Energy consumption by sector vice

Household

Industrial

Agricultural

Commercial

Government

42.4%7%6.2%

12.1%26.5%

1. WAPDA: It generates 11399 MW energy, in which 57% is hydel & 43% of thermal energy includes.

2. IPP: It only generates 6374 MW energy.

3. Nuclear Power Plants: There are two nuclear power plants in Pakistan which generate 462 MW energy.

4. KESC: It generates 1955 MW energy.

Coal

Petroleum

Natural Gas

Oil …

Thermal Source

Hydel Source

Nuclear Source

KANUPP

CHASHMA

Worsak

Mangla

Gas

Oil

Electricity

Coal

LPG

43.7%10.4%15.3% 1.5%

29.0%

Biogas

Solar energy

Wind energy

Waterfall…

Industrial Sector Of Pakistan

“Industry refers to that sector of economy which is related with manufacturing and production of different products”

Definition

Industrial Sector is of great importance for economic development of country.

Industrial Sector is of great importance for economic development of country. It is historical fact that countries with strong industrial sector have showed more economic growth and development industrial sector have shows improvement in national income and promoted living standard of population.

Industrial sector Functions

Textile industryTextile industry

Sports industrySports industry

Telecom industryTelecom industry

Cement industryCement industry

Surgical industrySurgical industry

Sugar industrySugar industry

Defense industryDefense industry

Auto mobile industryAuto mobile industry

Fashion industryFashion industry

Fertilizer industryFertilizer industry

Oil & Gas IndustriesOil & Gas Industries

Chemical industryChemical industry

Industries in Pakistan

Historically, Pakistan’s textile industry and clothing sector has always been a major contributor to the foreign exchange  earner and still contributes

Textile Industry

4th largest grower of cotton after USA, China and India

3rd largest consumer of cotton

3rd largest exporter of cotton textiles

2nd largest supplier of cotton yarn with 26% share of the international market

Achievements Textile Industry

Textiles products Handicrafts

Power loom productsScarfWool fabrics

Textile Industry

Blanket

Winter shawls

Hand embroidered shawls

Products

Over 1.3 million farmers, out of total of 5 million are involved in cultivation of this crop.

Industrial Sector is the second largest individual sector of the economy accounting for 24% of the GDP

Textile IndustryStatistics

Textile IndustryExports

Fertilizer Industry

Fertilizer is any organic or inorganic material of natural or synthetic origin (other than liming materials) that is added to a soil to supply one or more plant nutrients essential to the growth of plants.

Fertilizing Products

2. DAP

3. NP4. CAN5. SSP6. Others

1. Urea

Fertilizer Industry

GDP Contribution

14%

Employments

4.7 million

Fauji Fertilizer LtdEngro Chemical LtdSitara Chemicals Ltd

Major Fertilizer Co’s & GDP ContributionFertilizer Industry

Cement Industry

Cement industry is one of most prominent and energetic organization having operations and interactions with cement industry

5th position leavingGermany behind

Achievements

Pakistan is ranked 5th in the world’s

cement exports

2008-09 (20.28 mt)

Pakistan exports increased by 47% in

last fiscal year.

Exported $700m in past year

Cement Industry

Cement Companies in Pakistan

23 cement companies4 foreign companies3 controlled by the armed force19 companies are listed on the stock

exchange.

Cement Industry

GDP:-3.5% Contribution

Sugar IndustryAt the time of independence

in 1947, there were only two sugar factories in Pakistan.

At present there are 106 sugar mills operating in Pakistan.

It is the 2nd Largest industry in Pakistan after Textile Industry

PER CAPITA CONSUMPTION

(26kg)

PER CAPITA CONSUMPTION

(26kg)

Sugar Mills

total of 106 sugar mills

in the country

total of 106 sugar mills

in the country

Pakistan ranks 15th

in the World for sugarcane production

Pakistan ranks 15th

in the World for sugarcane production

Sugar Industry

GDP contribution (0.7%)

Employment(1million)

GDP contribution (0.7%)

Employment(1million)

Sugarcane acreage in Pakistan is 5th

in the World and it is grown on over 1 million hectares

Sugarcane acreage in Pakistan is 5th

in the World and it is grown on over 1 million hectares

Sugar By-Products

Alcohol (used by pharmaceutical industry)

Sugar Industry

Ethanol (used as a fuel)

“Sports' are all forms of physical activity which, through casual or organized participation, aim at expressing or improving physical fitness and mental well-being, forming social relationships or obtaining results in competition at all levels”

Sports Industry Sports Industry

Sports Goods

FootballCricket batsHockey sticksBoxing glovesVolley ballsSwimming suitsGolf ballsBadminton racketsBasketballs

FootballCricket batsHockey sticksBoxing glovesVolley ballsSwimming suitsGolf ballsBadminton racketsBasketballs

Sports Industry

The export of sports goods, increased by 7.85% from US$39.180m →US$42.257m last year

Sports IndustryStatistics

Sialkot export 70% of total world demand for hand-stitched inflatable soccer balls (footballs).

40 million balls annually worth US$210 million.

Companies of various sizes 2,400 Employments more than 200,000 Exporting goods worth US$450 million

Companies of various sizes 2,400 Employments more than 200,000 Exporting goods worth US$450 million

Large exporters (more than 250 employees)Medium exporters (100–250 employees)Small exporters (10–100 employees).Commercial exporters (1–9 employees).

Large exporters (more than 250 employees)Medium exporters (100–250 employees)Small exporters (10–100 employees).Commercial exporters (1–9 employees).

Sports IndustryStatistics

Telecom Industry Telecommunication is the

transmission of information over significant distances to communicate

Main Categories

Telephone Mobiles Internet

Achievements

In 2008 Pakistan was the world’s third fastest growing telecommunications market

Fixed-line subscriptions declined from a peak of 5.2 million in 2005-06 to 3.4 million in 2009-10

Pakistan traffic volume grew by 253 percent compared to last year during the same period

Telecom Industry

Contributions

5% of its Gross Domestic Product

5% of its Gross Domestic Product

has created 220,000 high-paying jobs in Pakistan

has created 220,000 high-paying jobs in Pakistan

Pakistan is now a leader in mobile usage in south Asia

Pakistan is now a leader in mobile usage in south Asia

Telecom Industry

Telenor Zong

Major Telecom Companies In Pakistan

PTCL Ufone Warid

Mobilink

Telecom Industry

Glass Industry

The glass industry in Pakistan, though developed, still has space for improvement.

There are about 37 glassworks in the organized sector, with the production capacity ranging between 10 tonnes and 200 tonnes per day.

The major ceramics industry are Karam Ceramics, Swat Ceramics, Master Tiles, Shabbir Tiles and Emco Industries.

Punjab73%

Punjab73%

Sindh5%

Sindh5%

Baluchistan3%

Baluchistan3%

NWFP19%

NWFP19%

GDPContribution

GDPContribution

Glass Industry

Imports & Exports Glass industry in

Pakistan comprises sixteen manufacturers in the organized sector which produces over 90 per cent of the indigenous production within the country.

(PAGMA)Pakistan exported glass products worth Rs 60 million to Rs 120 million per annum during 2005-2010,

(PAGMA)Pakistan exported glass products worth Rs 60 million to Rs 120 million per annum during 2005-2010,

imports of various glassfrom Rs 975 million to Rs 1,782million, during last five years 83%. increase

imports of various glassfrom Rs 975 million to Rs 1,782million, during last five years 83%. increase

Glass Industry

Glass Industry Glass Industry

Leather Industry

The leather made ups and finishing industries symbolize an important division in Pakistan,

Earning approximately more than 8 million $ as a foreign exchange earnings to the country.

JavaScript

Web application

Leather ProductsLeather Garments

Leather Goods

Footwear

Leather Shoe

Uppers

Tanning

Leather Gloves

Leather Industry

Production Capacity

Production Capacity ProductionTanned Leather 90 million ft2 60 million ft2 Leather Garments 7 million pieces 5 million pieces Leather Gloves 10 million pairs 5 million pairs Leather Footwear 200 million pairs 100 million pairs • The difference in production capacity and present capacity is due to various reasons. Source: Pakistan Tanners Association

Production Capacity ProductionTanned Leather 90 million ft2 60 million ft2 Leather Garments 7 million pieces 5 million pieces Leather Gloves 10 million pairs 5 million pairs Leather Footwear 200 million pairs 100 million pairs • The difference in production capacity and present capacity is due to various reasons. Source: Pakistan Tanners Association

Leather Industry

Leather export markets Italy, Spain, Portugal, South Korea, Germany, France, UK, USA and UAE.

Statiscs:

More than 2300 leather processing units

More than 2300 leather processing units

Provide employment to about 500,000 people

Provide employment to about 500,000 people

Leather Industry

Surgical Industry PAKISTAN SURGICAL INDUSTRIES (PVT) LIMITED

was established in 1974 and now has become one of the leading manufacturers of Surgical.

Surgical Products

Surgical Instruments

JavaScript

Dental Instruments

Surgical Industry

Web application Beauty Instruments

Web application

Contribution In Economy

Indicator Value

To GDP(%) 0.42%

To Direct Employment (Numbers) 400-500,000

To Indirect Employment (Numbers) 600-,750000

To Exports (%) 1.21%

Surgical Industry

Produces over 150m

pieces/year worth Rs 22

billion

2300 companies are working in

this sector

Statistics

Over 99% production is

done in Sialkot

Out of the total production

over 95% is exported

Surgical Industry

Automobile Industry The business of producing and selling self-powered

vehicles, including passenger cars, trucks, farm equipment, and other commercial vehicles

Automotive Industry Products

Light VehiclesLight Vehicles

CarsCars

JeepsJeeps

TractorsTractors

TrucksTrucks

Motor Cycles

Motor Cycles

BusesBuses

Automobile Industry

20072.8%

20072.8%

Contribution to GDP

2012 5.8%

Expected

2012 5.8%

Expected

Automobile Industry

Country ContributionAutomotive engineering is a driving force of large scale manufacturing, contributing US$ 3.6 billion to the national economy and engaging over 192,000 people in direct employment.

Automobile Industry

GDP Contribution of Different Sectors of Economy

Agriculture 20.47% Crops 9.90% Livestock 9.97% Fishing 0.33% Forestry 0.25%

Industry 23.93% Manufacturing 17.53% Mining 2.39% Construction 2.19% Electricity & Gas 1.80%

Services 55.60% Wholesale & Trade 17.25% Transport 11.80% Finance & Insurance 3.59% Ownership & Dwelling 2.22% Public Administration & Defense 5.4% Community & Social Professional Services 10.22%

Comparison of Industrial Sector

with other Countries

Comparison of Industrial Sector Asian Countries

Pakistan23.93%

India 26.3% Bangladesh 28.5% China 46.9%

0

1

2

3

4

5

6

7

8

9

GDP Growth

GDP Growth

Pakistan India Bangladesh Sri Lanka

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

GDP per capita

Pakistan India Bangladesh Sri Lanka

Pakistan India Bangladesh Sri Lanka

0%

5%

10%

15%

20%

25%

30%

35%

Contribution of Industrial Sector to Economy

Problems of Industrial Sector Power shortage Power shortage

Lack of trained manpower Lack of trained manpower

Import trendImport trend

InefficiecnyInefficiecny

Changing political and economic policies

Changing political and economic policies

Bad law and order situation resulting in lower investmentBad law and order situation

resulting in lower investment

Higher interest rateHigher interest rate

Labor UnrestLabor Unrest

Lack of products innovation resulting in concentration of industries in some specific

sectors.

Lack of products innovation resulting in concentration of industries in some specific

sectors.

Corruption in related government agencies and so many govt. agencies intervention

Corruption in related government agencies and so many govt. agencies intervention

Gap between targets and achievements:

Gap between targets and achievements:

Under-utilization capacity:Under-utilization capacity:

Concentration of economic power:

Concentration of economic power:

Elite-oriented consumption:Elite-oriented consumption:

Performance of public sector:Performance of public sector:

Growth of regional imbalances:Growth of regional imbalances:

Problems of Industrial Sector

Suggested Solutions Foreign Investment:

Small & Medium Enterprises (SMEs)

Micro Credit

:Privatization

EPZs(Export Process Zone)

Subtitute of powers(coal,gas,windmills)

Revival of Industrial policy

Innovative technology

Containment of skilled labor

Theory of Comparitave advantage

Participation in international galas

Research & Development

Govt projects

Suggested Solutions

Problems of Pakistan

Poverty Illiteracy Terrorism Food and water crisisPopulation growth Poor health facilities Internal and international migration Discrimination of SexDemocracy in shape of dictatorship Unloyal leadersForeign debtChild laborDeviant behavior discourage the rules of law from government representativesInflationInjusticeSmuggling

Illiteracy

Literacy rate: 49.9% educated populace ( Human development Report Pakistan) placed at 136th position for having just. The primary completion rate in Pakistan, given by Date Center of  UNESCO, is 33.8% in females and 47.18% in males, which shows that people in the 6th largest country of the world are unable to get the basic education

Solution

Govt. shouldIncrease education budgetEstablish more schools and appoint qualified and trained teachersTechnical education must be given to all the classes. Promote primary education

Terrorism

Pakistan plays a key and highly conflicted--role in the global war on terror. Today terrorism is threatening the very roots and fabric of Pakistan’s nationhood. More tragically, terrorism in Pakistan draws its justification from the very faith which provides the country its ideological bases.

ReasonThe major causes of Terrorism in Pakistan are:

1- Political Instability

4- Religious Extremism

3- Standard of Living

2- Economic Conditions

War on Terrorism

War against terrorism is another very important reason behind the economical problem.

War is affecting the world’s economy and is causing problems like shortage of fuel, lack of funds, increase in health problem etc.

War benefits none, someone is hurt badly and someone is destroyed completely.

Solution

The real solution is to kill the root of Terrorism and systematically change the attitude of those people’s who are involved in terrorism- Military operations against terrorists are also very necessary. Education, Justice, Pour politics can stop the Terrorism..???

CORRUPTION

Corruption is the prime reason behind the economical unstableness.

Corruption has spread into the world and has ruined the economy.Round about 7 billion daily corruption

823 billion in 20101100 billion in 2011

. Pakistan has been

ranked at 42nd number among the most corrupt nations

of the world.

There are many reasons of unemployment like influx of machinery that has replaced manpower.

Unemployment is a major social problem caused by poor economical system

Lack of funds followed by unorganized system and lack of new projects are causing unemployment worldwide.

Increase in population

UNENPLOYMENT

GDP real Growth rate 3.7% (2012 est.) country comparison to the world: 93

GDP real Growth rate 3.7% (2012 est.) country comparison to the world: 93

Unemployment rate7% (2012 est.) country comparison to the world: 55

Unemployment rate7% (2012 est.) country comparison to the world: 55

Population below poverty line 22.3%

Population below poverty line 22.3%

Budget:revenues: $29.51 billion expenditures: $44.19 billion (2012 est.)

Budget:revenues: $29.51 billion expenditures: $44.19 billion (2012 est.)

Household income or consumption by percentage share:lowest 10%: 9.9%

Household income or consumption by percentage share:lowest 10%: 9.9%

GDP - per capita:$2,900 (2012 est.) country comparison to the world: 175

GDP - per capita:$2,900 (2012 est.) country comparison to the world: 175

Investment (gross fixed):10.9% of GDP (2012 est.) country comparison to the world: 146

Investment (gross fixed):10.9% of GDP (2012 est.) country comparison to the world: 146

Taxes and other revenues:12.8% of GDP (2012 est.)  country comparison to the world: 201 

Taxes and other revenues:12.8% of GDP (2012 est.)  country comparison to the world: 201 

GDP - composition by sector:agriculture: 20.1% industry: 25.5% services: 54.4% (2012 est.)

GDP - composition by sector:agriculture: 20.1% industry: 25.5% services: 54.4% (2012 est.)

Exports:$24.66 billion (2012 est.) country comparison to the world: 71

Exports:$24.66 billion (2012 est.) country comparison to the world: 71

Economy - overview:

Imports:$40.82 billion (2012 est.) 

country comparison to the world: 61

Budget surplus (+) or deficit

(-):-6.4% of

GDP (2012 est.) 

country comparison to the

world: 179 

Labor force -

by occupati

on:agriculture: 45.1% 

ranksindustry: 

20.7% services: 

34.2% (2010 est.)

Labor force60.36

million country

comparison to the

world: 10